Guest Post by Dominic Fawver.

Session Description: Learn advanced approaches to running a clean affiliate program. A review of the systems, processes, tools and techniques used by leading affiliate programs to keep their programs clean. The panel consisted of:

• David Naffziger, CEO, BrandVerity (Moderator)
• Jamie Birch, Owner, JEBCommerce (Twitter @JamieEBirch)
• Graham MacRobie, President & CEO, Alias Encore (Twitter @grahammacrobie)
• Joshua Sloan, CEO, Sloan Tech (Twitter @sloanzone)

This session contained a lot of useful information targeted mostly to companies with an affiliate program and also outsource program managers.  Some of the information was useful for affiliates, especially the need for a good relationship between affiliates and affiliate managers.  The session consisted of short presentations by David Naffziger and by Graham MacRobie and then the floor was opened up for questions.

The presentations gave a brief overview of some of the common forms of abuse affiliate programs need to avoid.  These include PPC violations, Cookie Stuffing, Legitimate link replacement, transaction lead fraud, and Brand Squatting.  Some of the ways given to combat abuse were to know how your partners work – know how traffic is normally sent, who else they work with, is their plan consistent with their performance, and is their traffic pattern different from the normal.  Examples of various software was give, a couple from Brand Verity and also free alternatives.

The question and answer portion gave several very good tips.  One of the first was that no program should auto-approve, that affiliates each be inspected to make sure that they are who they say they are.  Another was to go over the terms and conditions listed for the program at least once a year;  it is better to have over strict rules and regs. that are lightly enforced rather than not enough.  This will help in the long run because if abuse is found it can then be removed.  Less than desirable affiliates are likely to group in the smaller networks as they are less likely to be discovered.  More abuse is likely in a new affiliate program.  Having the highest payout can make you a target on account of greed.   Many of these comments can be used both by affiliate managers and also act as warnings to affiliates as to the relationship they should have with their manager.

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Of course the best way to keep readers is to create a sense of anticipation in one’s blog, yet I assure you that was not my intention in waiting until today to finish my recap of Day 3. The Nevada dryness and, I come to find, altitude was not conducive to my attempts to fight off a bug that’s been going around here. So I returned home from ASW08 yesterday, slept ALL day, and already feel better just being back here on the California coast with my 20 ft above sea level home and cool air.

So where was I? Somewhere around Asymmetric Warfare. This was a great panel about affiliate fraud, something I’m not entirely familiar with how to combat. I picked up some great tips and can’t wait to receive a copy of the presentation from moderator Graham MacRobie. There was a TON of information, such as tips on how to prevent fraud, a list of countries to be careful of applications from (these countries are REALLY easy to create offshore corporations at so it could be fraudulent), and information on typo-squatting, tasting, and kiting (not sure if I spelled that right).

Some highlights I noted:

• Know your partners & reach out to them. Staying in touch will help weed out fraud.
• Check the WHOIS contact info for the affiliate domain name – will help ID fraud but also give you a chance to see if they have any other websites that your program would be a good fit for.
• Do what you can to own your own typo’d websites and redirect to your official website to avoid typosquatting (costly, but probably the best way to protect your brand).
• Don’t assume fraud will go unnoticed.
• Be wary of affiliates using redirects – not always a sign of fraud but worth a second look.
• www.torproject.org – proxy site to see the affiliates website as the rest of the world sees it, just in case they have an IP rule on you so it looks legit to the manager.
• Well thought out rules indicate vigilance against fraud & help to protect against it.
• Networks can help protect you because they trade info about globally bad affiliates and provide a first line of defense against fraud before the affiliate even gets to you.
• An audience member asked if it’s better to let everyone in or to be really selective, and the panelists advised to go for an approach right in the middle. Give the new affiliates a chance to succeed as lots have potential they just need to gain experience. Reach out to the little guy & try to help rather than cutting them from your program when they don’t perform.
• A good way to stay in touch with affiliates without being annoying to them is to just get an agreement with them about how often they want to be contacted. One call per month can be much more effective than a weekly blanket email.
• Understand how your company deals with transactional fraud before setting a policy that will affect paying your affiliates.
• If you’re really concerned, there are a lot of local task forces on police departments revolving around cyber-crime that can give you more information.

After that last session I packed up our materials for shipment back to Oakland and called it a day. I was still feeling ill, so I didn’t make it down to the un-keynote or the road rally. Hopefully when we go back to Boston for Affiliate Summit East 2008, I’ll be able to report more in-depth!

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